No transfer duties for property valued below R1m

Posted On Wednesday, 26 February 2020 20:01 Published by
Rate this item
(1 Vote)

From next month, consumers buying property valued at less than R1 million will no longer be required to pay transfer duties, the National Treasury announced on Wednesday.

 No transfer duties for property valued below R1m

This comes after the National Treasury announced in 2017 that home buyers and property investors looking to buy property below the market value of R750 000 no longer needed to pay transfer duties.

“The brackets to calculate transfer duties on the sale of property, last adjusted in 2017, will be adjusted for inflation from 1 March 2020. No transfer duty will be liable on the purchase of property with a value below R1 million.”

Consumers buying property valued between R1 000 001 and R1 375 000 will be liable to transfer duty costs of 3% of the property value.

Those purchasing a property between R1 375 001 to R1 925 000 will be charged R11 250 plus 6% of the total value of the property in transfer costs.

The National Treasury said R44 250 plus 6% will be charged on property valued above R1 925 000; while those buying property north of R2 475 000 will part with R88 250 and an additional 11% in transfer duties.

Wealthy spenders acquiring property valued above R11 million - such as those in the leafy neighbourhoods of Bishopscourt in Cape Town and Hyde Park in Johannesburg - will part ways with transfer duties of just over R1 million plus 13% of the value of the property.

Last modified on Thursday, 27 February 2020 07:45

Most Popular

Balwin's Munyaka registers record R850 million in opening weekend sales, selling 555 apartments

Mar 09, 2020
Steve_Brookes_Balwin_Properties
JSE listed Balwin Properties, a developer that cares about environmentally responsible…

Young buyers driving residential property market in Bloemfontein

Mar 04, 2020
Bloem Willows
Bloemfontein is experiencing a surge in residential property transactions concluded by…

Hyprop bolsters Rosebank Mall offering through securing the Checkers Premium FreshX concept

Mar 04, 2020
Rosebank Mall
Shoppers at Rosebank Mall in Johannesburg can look forward to a world-class supermarket…

Balwin Properties and ABSA launch South Africa’s first green home loan

Mar 13, 2020
Apartment 71933
JSE-listed Balwin Properties Limited (Balwin Properties or the Company) and Absa Group…

City Lodge Hotels to list on A2X

Mar 04, 2020
City Lodge Hotel
City Lodge Hotels Limited (share code: CLH) has been approved for a secondary listing on…

Please publish modules in offcanvas position.